Average Daily Volume
1.52M
Fund Overview
The iShares Broad USD Investment Grade Corporate Bond ETF (USIG) seeks to track the investment results of an index composed of U.S. dollar-denominated investment-grade corporate bonds. USIG provides exposure to a broad range of U.S. corporate bonds with maturities of one year or more, offering investors diversified access to the investment-grade corporate debt market. The fund is designed for those seeking income and capital preservation while maintaining credit quality. With holdings across various sectors, USIG aims to mitigate issuer-specific risks while providing steady returns through coupon payments.
- Asset Class
-
Bond
- Industry
-
Corporate Bonds
- Annual Dividend Rate
-
- Smart Beta
-
No
- Leveraged / Inverse
-
N/A / No
- Dividend Quality - Yield
-
- 5.16 %
- Currency Hedged
-
No
- Portfolio Turnover
-
10 %
- Dividend Date
-
Why Invest in the USIG ETF?
Potential Benefits
- Diversified exposure to U.S. investment-grade corporate bonds, reducing single-issuer risk.
- Lower credit risk compared to high-yield bonds, offering more stability in volatile markets.
- Attractive yield potential relative to government bonds, with higher income generation.
- Liquidity benefits due to the ETF structure, allowing easy entry and exit.
- Broad sector diversification, including financials, industrials, and utilities.
Potential Risks
- Interest rate risk: Rising rates can negatively impact bond prices.
- Credit risk: Although investment-grade, some issuers may face downgrades or defaults.
- Market liquidity risk: Corporate bonds may face liquidity constraints in stressed markets.
- Sector concentration risk: Heavy exposure to financials could lead to correlated downturns.
RSI data unavailable or insufficient history.
Monthly Returns (%)
| Year |
Jan |
Feb |
Mar |
Apr |
May |
Jun |
Jul |
Aug |
Sep |
Oct |
Nov |
Dec |
| 2026 |
+0.4%
|
+1.2%
|
-1.8%
|
+0.4%
|
+0.7%
|
+0.2%
|
-1.5%
|
+0.3%
|
-2.7%
|
+0.1%
|
-
|
-
|
| 2025 |
+0.6%
|
+2.1%
|
-0.3%
|
-0.1%
|
+0.2%
|
+1.8%
|
+0.1%
|
+1.1%
|
+1.5%
|
+0.3%
|
+0.8%
|
-0.3%
|
| 2024 |
-0.1%
|
-1.4%
|
+1.3%
|
-2.4%
|
+2.0%
|
+0.5%
|
+2.4%
|
+1.6%
|
+1.7%
|
-2.5%
|
+1.5%
|
-1.9%
|
| 2023 |
+4.3%
|
-3.2%
|
+2.8%
|
+0.8%
|
-1.4%
|
+0.5%
|
+0.3%
|
-0.8%
|
-2.5%
|
-1.8%
|
+5.9%
|
+4.1%
|
| 2022 |
-2.9%
|
-1.8%
|
-2.9%
|
-5.2%
|
+1.5%
|
-3.0%
|
+3.4%
|
-3.3%
|
-4.9%
|
-1.0%
|
+5.5%
|
-1.0%
|
| 2021 |
-1.2%
|
-1.9%
|
-1.3%
|
+1.1%
|
+0.4%
|
+1.7%
|
+1.3%
|
-0.2%
|
-1.3%
|
+0.4%
|
-0.1%
|
-0.1%
|
| 2020 |
+2.2%
|
+1.0%
|
-6.4%
|
+4.2%
|
+2.2%
|
+2.1%
|
+2.9%
|
-1.3%
|
-0.3%
|
-0.3%
|
+2.9%
|
+0.3%
|
| 2019 |
+2.4%
|
+0.1%
|
+2.5%
|
+0.4%
|
+1.3%
|
+2.4%
|
+0.3%
|
+3.3%
|
-0.6%
|
+0.4%
|
+0.3%
|
+0.4%
|
| 2018 |
-0.9%
|
-1.7%
|
+0.4%
|
-1.0%
|
+0.4%
|
-0.3%
|
+0.7%
|
+0.5%
|
-0.3%
|
-1.5%
|
-0.2%
|
+1.7%
|
| 2017 |
0.0%
|
+1.1%
|
0.0%
|
+1.0%
|
+1.1%
|
+0.3%
|
+0.7%
|
+0.8%
|
-0.2%
|
0.0%
|
-0.1%
|
+0.9%
|
< -5%
-5% to -2%
-2% to 0%
0%
0% to +2%
+2% to +5%
> +5%
Top Holdings (by weight)
| Symbol |
Company Name |
Weight |
No holdings data available.
Related ETFs: USIG vs Peers
Comparison highlights key differences on cost, coverage, and focus within sector ETFs.
Investment Strategy
USIG tracks the Bloomberg U.S. Corporate Bond Index, which includes U.S. dollar-denominated, investment-grade corporate bonds with maturities of one year or more. The index is market-cap weighted, meaning larger issuers have a greater influence on performance. The fund primarily holds bonds issued by corporations across various sectors, providing broad exposure to the investment-grade debt market. USIG is passively managed and rebalances periodically to align with the index composition, ensuring consistency with its benchmark.
Frequently Asked Questions
What is the average maturity of bonds in USIG?
USIG holds bonds with maturities of one year or more, with an average maturity typically ranging between 5-10 years, depending on market conditions.
How does USIG handle bond defaults?
USIG invests in investment-grade bonds, which have lower default risk. In case of a downgrade or default, the fund may sell the affected bond, depending on index rules.
Is USIG suitable for retirees?
Yes, USIG can be a good fit for retirees seeking steady income with relatively lower risk compared to high-yield bonds or equities.
Does USIG pay dividends?
Yes, USIG distributes monthly income from coupon payments received from its bond holdings.
Industry Overview
The iShares Broad USD Investment Grade Corporate Bond ETF (USIG) provides exposure to the U.S. investment-grade corporate bond market, which is a key segment of the fixed-income universe. Investment-grade bonds are issued by companies with strong credit ratings, offering lower default risk compared to high-yield bonds. This market is influenced by macroeconomic factors such as interest rates, inflation, and corporate earnings. Investors often turn to investment-grade corporate bonds for stable income and capital preservation, particularly in uncertain economic environments. USIG offers a convenient way to gain diversified exposure to this asset class.
Alternative Comparison
Compared to LQD (iShares iBoxx $ Investment Grade Corporate Bond ETF), USIG offers broader exposure by including bonds with maturities as short as one year, whereas LQD focuses on longer-dated bonds. VCIT (Vanguard Intermediate-Term Corporate Bond ETF) has a similar maturity profile but may have slightly different sector allocations. USIG's competitive expense ratio (0.04%) makes it cost-effective relative to some peers, and its broad diversification helps reduce issuer-specific risks.
Issuer Overview
iShares, a division of BlackRock, is one of the largest ETF providers globally, known for its extensive range of index-tracking funds. With a strong reputation for liquidity, transparency, and low-cost investment solutions, iShares ETFs are widely used by both institutional and retail investors. BlackRock's robust infrastructure ensures efficient fund management and adherence to stated objectives.
Conclusion
USIG is a well-diversified, low-cost ETF providing exposure to the U.S. investment-grade corporate bond market. Its broad index coverage, liquidity, and strong credit quality make it an attractive option for income-focused investors seeking stability. While subject to interest rate and credit risks, USIG remains a solid choice for those looking to balance yield and safety in their fixed-income portfolio.
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